European biogas developer Heygaz is set to acquire Waterford-based anaerobic digestion (AD) developer Ormonde Organics.

Ormonde Organics operates two AD plants - one in Portlaw, Co Waterford, and one in Youghal, Co Cork, with a total production capacity of 60 giga watt hours (GWh) per annum.

Ormonde has recently obtained permission to build a third plant, expected to be operational by the end of 2025.

The acquisition by Heygaz Biomethane - the European platform created by Infravia Capital Partners - is subject to approval by the Competition and Consumer Protection Commission.

Following this acquisition, the Ormonde Organics management team will join Heygaz's executive team and will continue to lead the company, retaining an equity stake.

Biomethane

Currently, most of the biogas produced by these plants is used to generate renewable electricity, while a small portion is upgraded into biomethane and sold as bio-compressed natural gas (CNG).

Ormonde Organics, together with Gas Networks Ireland, is developing a facility to inject biomethane directly into Ireland's national gas transmission grid from its plant in Portlaw. This new route to market will facilitate further biomethane production.

Heygaz aims to build and consolidate a European portfolio of biomethane production plants in markets with high growth potential through the development of new projects or the acquisition of existing production assets.